Thursday, March 18, 2010

MSD Decatur Reaches Deal on Retirement Incentives

Yesterday's IndyStar had the following report on Tuesday's Decatur School Board meeting by Gretchen Becker, titled "Decatur Twp hopes package will save teacher jobs".
The Decatur Township School Board approved on Tuesday a retirement incentive package they hope will save teachers' jobs.

As part of statewide budget cuts, the Southwestside school district is looking to slice its general fund by $5.6 million. On Friday the district handed out 62 notices to teachers that said that they could be fired -- but the district hopes to hire many of them back before spring break.

Teachers who choose to retire who are on the district's insurance plan will receive a one-time $15,000 contribution to their retirement savings plans. Those not on insurance would receive a one-time $20,000 contribution, said Jeff Baer, assistant superintendent.

Each teacher retirement could potentially bring back two beginning teachers, Baer

"We are hoping to get substantial retirements out of the proposal," Baer said. "Friday was the worst-case scenario. We are hoping the actual numbers are much less."

The board also approved a one-time proposal that retiring bus drivers can remain on the district's insurance plan for one year after retirement.

The board will take action on its reduction-in-force notices at its April 13 meeting.
Also Tuesday, the board approved a $743,310 reduction in the transportation fund, which will shrink personnel, gas usage, extra trip runs and contracted routes. The district's goal is to cut a total of $1.2 million from transportation.

Earlier this year the School Board OK'd a 15 percent cut in Superintendent Don Stinson's $189,000 salary and approved a 5 percent reduction in administrators' pay, saving $191,215.49. The board also OK'd a reduction in administrative staff by six and capped the cafeteria employee insurance plan to save $933,000.


Anonymous said...

Hmmmm my spouse is a teacher in Decatur...wonder when teachers will be notified. He would definately retire if he could have half of the superintendents retirement package.

Anonymous said...

The teachers get $15,000 for insurance. Baer got insurance until Age 65 = 10 years x $18,000 = $180,000 Got it.????????????????

Anonymous said...

Wow, I'd say no deal. Especially for bus drivers. Only one year of insurance? That is practically nothing. For drivers over 60, we should at least cover them until they can apply for medicare benefits at 65.

As for teachers, 15K towards retirement is not much. If I were an older teacher, I'd say no deal. They could save more than that by working a few more years while keeping their insurance.

Anonymous said...

Will teachers be able to stay on the district insurance until Medicare begins? If not the $15,000 becomes a wash for a retiree who has no other health insurance available thru a spouse. Teachers should be given the same as administrators. But they are meer workers and the admin are the bosses.

Anonymous said...

Hmmmmm, Someone should ask Mr. Baer if the savings will help keep Susan Adams on the payroll? She will be taking part of Baer's position with a BIG pay raise

Anonymous said...

Since the newspaper published Stinson's contract it well known that he makes far more than $189,000 per year. Maybe if he signed a new contract for $160,650 (15% less)with no other provisions like a car, annuity, etc. and asked the newspaper to publish the new signed contract then the teachers, bus drivers, and others might make a deal. They could get rid of the 13 paid holidays and 20 vacation days and pay him for 227 days at $90 per hour at 8 hours/day for a cost of $163,440 do he would not even quite a 15% reduction. $90 per hour is pretty good. Teachers might need $60 per hour at 8 hours per day for 180 student days required by the State for a total of $86,400 (180 days X 8 hours per day X $60 per hour. Hopefully, everyone would be happy. They would be paid much more per hour than other state employees and taxpayers would better understand the work of these public servants.

Anonymous said...

Not a good deal for busdrivers to retire.States that they can stay on school insurance. Big deal! Does not say they will pay insurance. I would think they could pay full cost of driver insurance for one year including drivers share...drivers share for one year...$3,768.00 for single policy. Do you think a driver could pay this on busdriver retirement pay if they are not old enough to get ss yet.Family plan is more than double this according to earlier post. wow! Baer gets 180,000 for his insurance for next ten years! Sweet for him...Too bad for busdrivers

Anonymous said...

How can they say they are reducing personnel and routes in transportation if they have hired 10 new drivers and are buying 10 more busses?

Anonymous said...

Nice to see Decatur finally got around to it. Wayne took care of this months ago.